We consider the extent of debt, and the nature of debt contracts, if borrowers can default on debts, in an in ̄nite horizon economy with a productive, intertemporal technology. Some individuals own this technology; the rest lend their savings to them. Borrowers can default on debt at any time, and lose the right to borrow if they do so. We evaluate debt and repayment paths that can be sustained ...

With free cash flows, borrowers can accumulate cash or voluntarily pay down debts. However, sometimes creditors impose a mandatory repayment covenant called “excess cash flow sweep” in loan contracts to force borrowers to repay debts ahead of schedule. About 17% of borrowers in our sample (1995-2006) have this covenant attached to at least one of their loans. We find that the sweep covenant is ...

abstract financial and electronic debts are one of the important issues in iran's financial scope that are considered by economists due to their role in creating financial instabilities. therefore, a model was represented in this survey to evaluate and rank financial and electronic debts in iran including foreign debts, governmental debts, non-governmental debts and banking debts during th...

the aim of this study was to investigate the factors affecting timely repayment of agricultural loans in fars province. the necessary data was obtained from agricultural bank as well as through 163 questionnaires, filled out in fars-province. the farmers were divided in to timely repayment and defaulter groups while standard tobit model being used for the study. the dependent variable in this m...

Scripless shares are one of the objects collateral as regulated in article 60 section (2) UUPT. Collateral provides guarantee for repayment debts to creditors 1150 Indonesian civil code. Yet, scripless is different from general collateral, where object not on creditor, and value changes anytime. This study aims explain legal protection creditor collateral. Based findings, author found that curr...

Abstract Probate inventories helped to support the established social and economic order in colonial Jamaica. These documents were part of legal process winding up an estate after a death presented account personal possessions that had belonged decedent. They facilitated transfer property heirs identified those parts available for repayment debts. The contain lists enslaved people, representing...

This paper examines the impacts of retail borrowers’ emotions and personality traits on their abilities to engage in appropriate responses when things unexpectedly go wrong they get into debt repayment difficulties. We establish several scenarios where borrowers are hit with unforeseen circumstances that affect make loan payments we classify evaluate riskiness strategies state would adopt those...

Definitions of credit debt restructuring banking institutions provided in several legal acts are summarized. They reduced to changing the essential conditions current agreement soften requirements for borrower connection with his financial difficulties, need create favorable him fulfill obligations. The objects under are: interest rate; forgiveness part debt; repayment schedule; terms and amoun...

This paper analyzes the theoretical underpinnings of high-frequency repayment, a feature in nearly all microfinance contracts that has been largely overlooked by theorists. The pervasive belief among practitioners that frequent repayment is critical in achieving high repayment rates is puzzling. Classically rational individuals should benefit from more flexible repayment schedules, and less fre...

This study evaluated the short-term links between different forms of household debt—credit card debt, student debt from relatives, mortgage car and arrears—and life satisfaction. To this end, a longitudinal dataset for US population Panel Study Income Dynamics (PSID) was used propensity score difference-in-differences approach applied. Credit loans negatively impacted satisfaction in short term...